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Date:	
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   q Problem-­‐Solu;o...
Red	
  Ocean	
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Date:	
  ………………………..….	
  

q Vision	
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   q Problem-­‐Solu;o...
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Date:	
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   q Problem-­‐Solu;o...
Red	
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Date:	
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Date:	
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How	
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q Vision	
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ROD	
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Origin	
  
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The	
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How Scalable Lean Startups Can Use the ROD Map to Inspire Today's Investors ... While Getting Needed Funds and Higher Valuations

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How Scalable Lean Startups Can Use the ROD Map to Inspire Today's Investors ... While Getting Needed Funds and Higher Valuations

  1. 1. How  Scalable  Lean  Startups  Can  Use   The  Red  Ocean  Disrup;on  (ROD)  Map     To  Inspire  Today’s  Investors   While  Ge(ng  Needed  Funds  and  Higher  Valua4ons     Dr.  Rod  King  
  2. 2. Worksheet   of   The  Red  Ocean  Disrup4on  (ROD)  Map  
  3. 3. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  4. 4. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)   M:   Measure   Problem  (Effect)   A:   Analyze   Problem   I:   Improve   Solu4on   L:   Learn     What’s  Valued                                           #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  5. 5. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)   M:   Measure   Problem  (Effect)   A:   Analyze   Problem   I:   Improve   Solu4on   L:   Learn     What’s  Valued                                     Customer  Story   Business  Story   Learning  Story     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  6. 6. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)   M:   Measure   Problem  (Effect)   A:   Analyze   Problem   I:   Improve   Solu4on   L:   Learn     What’s  Valued   Experiment/   Cycle  1                 Experiment/   Cycle  2             Experiment/   Cycle  …             Customer  Story   Business  Story   Learning  Story   (ROD  Problem)   (ROD  Solu:on)     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  7. 7. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  8. 8. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Disrup;ve     ………………………………   (Prototype/Demo)   P.I.E.S.  Features   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  9. 9. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     ………………………………   (Prototype/Demo)   P.I.E.S.  Features   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  10. 10. Red  Ocean  Disrup;on  (ROD)  Map   Date:  ………………………..….   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     ………………………………   (Prototype/Demo)   P.I.E.S.  Features   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   q  Problem-­‐Solu4on   Experiment   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  11. 11. Date:  ………………………..….   Red  Ocean  Disrup;on  (ROD)  Map   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     ………………………………   (Prototype/Demo)   P.I.E.S.  Features   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   Blue  Ocean     Business  Model   (Product/Service)   E:  Eliminate     q  Problem-­‐Solu4on   Experiment   L:   Learn     What’s  Valued   R:  Reduce   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   I:  Increase   C:  Create   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  12. 12. Date:  ………………………..….   Red  Ocean  Disrup;on  (ROD)  Map   q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  ……………………….…………..………………………………………………………..…………………..…..……   Customer  (Segment/Base/“Tribe”/Benefactor):  …..…………………………………………….….……….………..……………………………..…………..……   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  …………………...…………..…………………………………………………………..……………..….…………………………….……   Conven4onal  Tool  (Product/Service/Business  Model):  ………………………………..…….……………………………………………………………………..   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)                                   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     ………………………………   (Prototype/Demo)   P.I.E.S.  Features   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   E:  Eliminate     q  Problem-­‐Solu4on   Experiment   R:  Reduce   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   q  PRODUCT/     VALUE   PROPOSITION   q  CHANNELS/ CUSTOMER   RELATIONSHIPS   q  PROFITABILITY   I:  Increase   C:  Create   q  COST  (PAIN)   q  REVENUE   (DELIGHT)   q  UNFAIR   ADVANTAGE   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  13. 13. Red  Ocean  Disrup;on  (ROD)  Maps   of   The  World’s  Most  Successful   Scalable  Lean  Startups  
  14. 14. RED  OCEAN  DISRUPTION  (ROD)  VISION   The  North  Star  of  the  World’s  Most  Innova:ve  Companies   “Reinvent  (Disrupt)   The  Customer  Experience   In   The  Tradi;onal  X-­‐Industry”     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  15. 15. A  Scalable  Lean  Startup  Story  About  the  Evolu;on  of  Man  (Homo  Sapiens)   How  Nature  Uses  the  Lean  Startup  Method  in  a  Fractal  Lifecycle  of  5  Experiments   Fractal  Lifecycle  Plan  for  Scalable  Lean  Startups   Chasm   Lean  Startup’s     Journey  &  Milestones   ?   Problem-­‐Solu;on   Product-­‐Market   Experiment   Experiment   Op;miza;on  &  Scaling   Experiment   Renewal   Experiment   Vision     Experiment   (“Big  Bang”   Disrup:on)     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  16. 16. Red  Ocean  Disrup;on  (ROD)  Map  of  Apple  (iPhone):  2007       q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  Reinvent  (Disrupt)  the  Customer  Experience  in  the  Phone  Industry   Customer  (Segment/Base/“Tribe”/Benefactor):  Luxury-­‐Spot  “Game-­‐changers”   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Seamless  Mul:-­‐media  Communica:on:  Differently  Phone,  Listen  to  Music,  and  Browse  Internet   Conven4onal  Tool  (Product/Service/Business  Model):  Cell  phones;  Smartphones:  Moto  Q;  Blackberry;  Palm  Treo;  Nokia  E62;   Digital  Music  Player;  Desktop/Laptop  Computer   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Smartphones                 Not    So“Smart”     Complex:     Hard  to  Use         Small  Screen     Fixed  Key-­‐     board;  Stylus   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     Smartphone   (Prototype/Demo)   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on   P.I.E.S.  Features     q “Supersmart”   R:  Reten4on   Phone       q Dead  Simple  to   R:  Referral   Use   q Cool,  Sexy  Design     R:  Revenue   q Ultra-­‐slim   q No  Keyboard  or   Stylus   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   E:  Eliminate     Lifecycle  Experiments   Fixed  plas:c     q  Vision  (Leap  of   keyboard/buZons;   Faith)   Pen  stylus;  Manual              Experiment   R:  Reduce   Size/Thickness;   q  Problem-­‐Solu4on   Weight;  Complexity;   Experiment   Learning/:me   q  Product-­‐Market   Experiment   I:  Increase     Price;  Screen  Size;   Performance;   q  Op4miza4on  &   Scaling  Experiment   Syncing;  Design   C:  Create   Touchscreen;   q  Renewal/   Packaging;  Visual   Disrup4on   Voicemail;  Apps;  Ads   Experiment   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   iPhone   Touchscreen    Mobile  Phone/   Digital  Music   Player/   Internet   Navigator     “Insanely  Great   Customer   Experience”   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  17. 17. Red  Ocean  Disrup;on  (ROD)  Map  of  Apple  (iPod):  2001       q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  Reinvent  (Disrupt)  the  Customer  Experience  in  the  Music  Player  Industry   Customer  (Segment/Base/“Tribe”/Benefactor):  Luxury-­‐Spot  “Game-­‐changers”   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Seamless  Music  Experience  (Everywhere):  Differently  Listen  to  Music   Conven4onal  Tool  (Product/Service/Business  Model):  Portable  Music  Players  –  CD-­‐Player;  Flash  Player;  MP3-­‐CD  Player;       Hard-­‐Disk  Jukebox     D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Music  Players             Limited  Song       Storage         “Ugly”  Design;   Bulky         Limited  BaMery   Life         Skipped  Songs   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve     Music  Player   (Prototype/Demo)   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on   P.I.E.S.  Features   q “Unlimited”  Song     R:  Reten4on   Storage   q Cool,  Sexy  Design     q Long  Bagery  Life   R:  Referral     q No  Skipped   R:  Revenue   Songs   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   Lifecycle  Experiments   E:  Eliminate     q  Vision  (Leap  of   Control  BuZons;     Faith)   Gray/Black  Color;              Experiment    On-­‐off  Switch   q  Problem-­‐Solu4on   R:  Reduce  Size/   Experiment   Weight;  Thickness;   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   Complexity   I:  Increase  Price;    Song  Storage;    BaZery  Life   C:  Create  LCD     Screen;  Wheel;    Fast  Download   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Classic  iPod   Ultra-­‐Portable   Digital  Music   Player:   “A  Thousand   Songs  in  Your   Pocket”     “Insanely  Great   Customer   Experience”   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  18. 18. Red  Ocean  Disrup;on  (ROD)  Map  of  Cirque  du  Soleil:  1984       q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  Reinvent  (Disrupt)  the  Customer  Experience  in  the  Tradi:onal  Circus  Industry   Customer  (Segment/Base/“Tribe”/Benefactor):  Sweet-­‐Spot  “Game-­‐changers”   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Differently  Experience  Live  Entertainment  (Circus)   Conven4onal  Tool  (Product/Service/Business  Model):  Tradi:onal  Circus;  Musical;  Broadway  Theater;  Spor:ng  Events   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Tradi;onal  Circus             Animal  Cruelty       Divided     AMen;on  in     3-­‐Ring  Venue       High  Price  of     Aisle  Seats       Expensive  Star     Performers   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve   Street  Performance   Act   (Road  Show/Demo)   P.I.E.S.  Features   q Unique   (Broadway-­‐type)   Circus   q No  Animal   Cruelty   q Classy  Venues   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   E:  Eliminate     Star  Performers;   Animal  Shows;   Aisle  Concessions;   Mul:ple  Show  Arenas   q  Problem-­‐Solu4on   R:  Reduce   Experiment   Fun  and  Humor;   Thrill  and  Danger   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   I:  Increase   Unique  Venue   C:  Create   Theme;  Refined   Environment;   Mul:-­‐Produc:ons;   Music  and  Dance   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Cirque  du  Soleil   Avant  Garde   Circus     Unique    Circus-­‐Theater   Entertainment   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  19. 19. Red  Ocean  Disrup;on  (ROD)  Map  of  Southwest  Airlines:  1971       q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  Reinvent  (Disrupt/Democra:ze)  the  Customer  Experience  of  the  Air  Travel    Industry   Customer  (Segment/Base/“Tribe”/Benefactor):  Low  Cost  “Game-­‐changers”   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Interstate  Travel:  Differently  Travel  Between  Ci:es   Conven4onal  Tool  (Product/Service/Business  Model):  Tradi:onal  Airlines;  Train;  Taxi;  Con:nental  Airlines;  Pacific  Southwest   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Short-­‐Haul  Transport                 High  Ticket     Price       Delays  on     Ground       Unserved     Prospects     Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve   Short-­‐Haul  Transport   (Prototype/Demo)   P.I.E.S.  Features   q Low  Cost   q Timely  Flights   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   E:  Eliminate     L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Lifecycle  Experiments   Disrup;ve   Meals;   q  Vision  (Leap  of   Short-­‐Haul  Transport   Lounges;   Faith)   Sea:ng  Class  Choices;              Experiment   Hub  Connec:vity   q  Problem-­‐Solu4on   Experiment   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   R:  Reduce   Price  of  Air  Ticket   I:  Increase   Friendly  Service;   Speed   C:  Create   Frequent     Point-­‐to-­‐Point   Departures   Low  Cost   Airline   “The  speed  of  a   plane  at  the   price  of  a  car  …   whenever  you   need  it”   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  20. 20. Red  Ocean  Disrup;on  (ROD)  Map  of  Google  (Search  Engine):  1998       q Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal   Project  Vision  (Cause/Final  Result/Outcome):  Reinvent  (Disrupt)  the  Customer  Experience  of  the  Search  Engine  Industry   Customer  (Segment/Base/“Tribe”/Benefactor):  Blue  Ocean  “Game-­‐changers”   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  (1)  Differently  Get  Accurate  Search  Results          (2)  Differently  Get  Leads/Purchases   Conven4onal  Tool  (Product/Service/Business  Model):  Tradi:onal  Search  Engines  (Yahoo;  Excite;  GoTo.com;  Lycos)   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Search  Engines               Complex     User  Interface       Irrelevant/Paid     Search  Results       Banner  Ads     Untargeted  and     Costly  Ads     Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve   Search  Engine   (Prototype/Demo)   P.I.E.S.  Features   q Simplicity   q Relevance   q Speed   q Inexpensive  Ads   M:   Measure   Problem  (Effect)   Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   I:   Improve   Solu4on   Business  Model   Disrup4on  Strategy   E:  Eliminate     Banner  Ads;   Paid/Sponsored   Rankings   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   Disrup;ve   Search  Engine   R:  Reduce   q  Problem-­‐Solu4on   Delay  in  Displaying   Experiment   Search  Results   q  Product-­‐Market   Experiment   q  Op4miza4on  &   Scaling  Experiment   q  Renewal/   Disrup4on   Experiment   I:  Increase   Relevance  of   Search  Results/Ads   C:  Create   Automated  Ad   Purchasing  System;   Clean  (Elegant/   Simple)  Interface   “Organize  the   world’s  informa:on   and  make  it   universally   accessible  and   useful”   Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  21. 21. Red  Ocean  Disrup;on  (ROD)  Map   of   An  Emerging   Red  Ocean  Disrup;on   (ROD)   Lean  Startup  
  22. 22.  Red  Ocean  Disrup;on  (ROD)  Map  for  Red  Ocean  Disrup;on  (ROD)  University           ROD  U     Date:  October  2013     ü  Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal     Project  Vision  (Cause/Final  Result/Outcome):  “Develop  Tools  for  Collabora:vely  and  Rapidly  Resolving  the  Global  Healthcare  Crisis”   Customer  (Segment/Base/“Tribe”/Benefactor):  BLUE  OCEAN  “GAME-­‐CHANGERS”:  Macro/Meso/Microsystems  (Disruptors)   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Cost-­‐effec:vely  Improve  and  Disrupt  Exis:ng  Tools,  Services,  Brands,  and/or  Business  Models   Conven4onal  Tool  (Product/Service/Business  Model):  Business/Strategic  Plan;  Lean/Six  Sigma  Method;  Learning  From  Defect;   A3  Problem  Solving  Template   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)   M:   Measure   Problem  (Effect)   A:   Analyze   Problem   I:   Improve   Solu4on   L:   Learn     What’s  Valued   Experiment/   Cycle  1                 Experiment/   Cycle  2             Experiment/   Cycle  …             Customer  Story   Business  Story   Learning  Story   (ROD  Problem)   (ROD  Solu:on)     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  23. 23.  Red  Ocean  Disrup;on  (ROD)  Map  for  Red  Ocean  Disrup;on  (ROD)  University           ROD  U     Date:  October  2013     ü  Vision  Experiment   q Problem-­‐Solu;on  Experiment   q Product-­‐Market  Experiment   q Op;miza;on  &  Scaling   q Renewal     Project  Vision  (Cause/Final  Result/Outcome):  “Develop  Tools  for  Collabora:vely  and  Rapidly  Resolving  the  Global  Healthcare  Crisis”   Customer  (Segment/Base/“Tribe”/Benefactor):  BLUE  OCEAN  “GAME-­‐CHANGERS”:  Macro/Meso/Microsystems  (Disruptors)   Goal/Strategy/Job-­‐To-­‐Get-­‐Done:  Cost-­‐effec:vely  Improve  and  Disrupt  Exis:ng  Tools,  Services,  Brands,  and/or  Business  Models   Conven4onal  Tool  (Product/Service/Business  Model):  Business/Strategic  Plan;  Lean/Six  Sigma  Method;  Learning  From  Defect;   A3  Problem  Solving  Template   D:   B:   Define   Build   Problem  (Needs)   Solu4on  (Pilot)     Red  Ocean       Business  Model     (Product/Service)     Tradi;onal  Planning  &     Problem  Solving                     Voluminous;     Rigid;  Costly     Time-­‐consuming       Waste  of     Resources     M:   Measure   Problem  (Effect)   Minimum  Viable   Business  Model   (Product/Service)   Disrup;ve  Tool   ROD  Quartet  of   Tools   (Con4nuous  Problem   Finding  &  Solving)   D B M A I     P.I.E.S.  Features   q One-­‐page   q Simple   q Fast   q Versa4le   q Inexpensive   L Business  Model   (“PEAR”)  Metrics   P:  Process  (Trade-­‐off)     E:  Engagement     A:  Acquisi4on     A:  Ac4va4on     R:  Reten4on     R:  Referral     R:  Revenue   A:   Analyze   Problem   Business  Model   Analysis   q  q  q  Business  Model   Disrup4on  Strategy   L:   Learn     What’s  Valued   Blue  Ocean     Business  Model   (Product/Service)   E:  Eliminate     ROD  University   Complexity   Web  Site   R:  Reduce   (Sign  up/Landing  Page)   •  Cost   •  Prepara:on  Time   Problem-­‐Solu4on   •  Size/Thickness   Experiment   •  Waste  (Failure)   I:  Increase   Product-­‐Market   •  Relevance;  Ac:on   Experiment   •  Versa:lity   •  Collabora:ve   Op4miza4on  &   Problem  Solving   Scaling  Experiment   hgp:// •  Flexibility   businessmodels Renewal/   C:  Create   .ning.com   Disrup4on   •  Heuris:c:  DB-­‐MAIL   Experiment   •  ROD  Teams   Lifecycle  Experiments   q  Vision  (Leap  of   Faith)              Experiment   q  I:   Improve   Solu4on   •  Note:  P.I.E.S.  is  an  acronym  for  Physical;  Intellectual;  Emo:onal;  Spiritual       #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  24. 24. ROD  Cycle:   Origin   of   The  Red  Ocean  Disrup4on  (ROD)  Map  
  25. 25. Red  Ocean  Disrup;on  (ROD)  Cycle:  DB-­‐MAIL   Red  Ocean  Disrup;on  (ROD)  Map  for  Product  Innovators,  Improvers,  Planners,  and  Lean  Startups   q D:  Define  Problem   q B:  Build  Solu4on   q M:  Measure  Problem   q A:  Analyze  Problem     q I:  Improve  Solu4on   q L:  Learn  What’s  Valued   Business  Lifecycle  Evolu4on   1.  Vision  (Leap  of  Faith)  Experiment   Does  the  vision,  cause,  theme,  or  Job-­‐ To-­‐Get-­‐Done  of  the  project  empower   the  targeted  customers  (co-­‐creators)?   D:   Define   L:  Learn   B:  Build   ROD  Cycle   for   Each  Evolu:on/Experiment  (Project):   DB-­‐MAIL   I:   Improve   M:   Measure   A:   Analyze   2.  Problem-­‐Solu;on  Experiment   Would  a  minimum  viable  product/ service  (prototype)  solve  a  validated  Big   Urgent  Market  Problem  (BUMP)?     3.        Product-­‐Market  Experiment   Is  the  proposed  (more  featured)   product/service/business  model   effec:vely  and  profitably  solving  the  Big   Urgent  Market  Problem  (BUMP)?     4.  Business  Model  Op;miza;on  &   Scaling  Experiment   Can  defects  or  waste  in  processes  be   rapidly  and  cost-­‐effec:vely  eliminated,   i.e.,  brought  to  the  level  of  Six  Sigma   (3.4  defects  in  1,000,000)?  Can  the   business  model  be  scaled  or  repeated?     5.  Business  Model  Renewal/ Ecosystem  Disrup;on  Experiment   How  best  to  disrupt  exis:ng  (matured)   product/service/business  model?   Note:  The  ROD  (DB-­‐MAIL)  Cycle  is  a  synthesis  of  ideas  from  the  Scien4fic  Problem-­‐Solving  Process,  Six  Sigma’s  “DMAIC”  heuris4c,     Eric  Ries’s  “Build-­‐Measure-­‐Learn  (BML)”  Loop,  Kim  &  Mauborgne’s  Blue  Ocean  Strategy,  and  Jean-­‐Marie  Dru’s  Disrup4on.     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  
  26. 26. 5  Applica;ons  of  the  Red  Ocean  Disrup;on  (ROD)  Map   Red  Ocean  Disrup4on  (ROD)  Cycle:  DB-­‐MAIL   q D:  Define  Problem   q B:  Build  Solu4on   q M:  Measure  Problem   q A:  Analyze  Problem     q I:  Improve  Solu4on   q L:  Learn  What’s  Valued   You  can  use  the  Red  Ocean  Disrup4on  (ROD)  Cycle  or  Map    to  rapidly  and  cost  effec4vely     do  the  following  projects:   VISION  DOCUMENTATION,  PLANNING,  EXECUTION,  AND   PRESENTATION   BUSINESS  MODEL  IMPROVEMENT:                                                                                       Lean/Six  Sigma  Projects;  Process/Product/Service  Improvement  Projects     BUSINESS  MODEL  DISRUPTION  (INNOVATION):                                 Lean  Startup  Projects;  Process/Product/Service  Innova4on  Projects   BUSINESS/STRATEGIC  PLANNING:                                                                     Business  Plan  Projects;  Strategic  Plan  Projects   BRAND  DISRUPTION:                                                                                                                                       Brand  Reinven4on/Disrup4on  Projects;  Disrup4ve  Marke4ng  Projects     #4ROD.  Dr.  Rod  King.  rodkuhnhking@gmail.com  &  hMp://businessmodels.ning.com  &  hMp://twiMer.com/RodKuhnKing  

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